Any Real life Crypto Currency disaster stories?

Discussion in 'Blockchain & Cryptocurrency Mining' started by ipv6ready, Dec 31, 2017.

  1. ipv6ready

    ipv6ready Member

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    With more mums and dads getting into digital currency, does anyone know of people who have lost money on the currency.

    I presume many members here could have gotten their coins for few dollars like me, but we also have current active miners and people who bought at $19k usd too.

    Unlucky UK seller sold his house for BTC 18th December at $18k BTC/USD (potentially lost $250,000 USD)
    This sellers likely not have settled but I bet the purchasers are holding them to it.
    http://www.telegraph.co.uk/news/2017/12/16/first-bitcoin-homes-sell-uk/

    (Note the above is for just one property, the guy selling sold two properties for Bitcoins, so his paper losses are even higher)

    To be fair there are also people who more than doubled their money $2.5million to $5miilion on paper at the height of BTC $20k USD but now sitting on 25% more than what they have sold it for in BTC on 28th November BTC/USD $9800.

    http://www.afr.com/real-estate/firs...t-bitcoin-as-25m-sale-payment-20171127-gzu2nl

    Wondering what other stories are out there?
     
  2. GumbyNoTalent

    GumbyNoTalent Member

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    You only lose on an investment when you cash out!

    If you have 100BTC on Dec 1 and sold no BTC this month then on Dec 31st you still have 100BTC with no lose or gain.

    Both of your stories have 2 sides, for one side it is a disaster, and for the beneficiary it is a positive. As in all high risk deals there are winners and losers, so if mum and dad wish to gamble their life savings there are many high risk "investments" for them to "invest" in, all with the potential for them to lose the lot.
     
  3. OP
    OP
    ipv6ready

    ipv6ready Member

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    the reason BTC is $1, $1k, $10k or $20k is becuase someone paid cash for for BTC.
    If no one Ever paid cash than BTC world be worth zero in dollars.

    So it might not be these people, but someone somewhere paid $19k for bitcoins.

    Like when I started selling bitcoins I got cash for it, that money wasn’t printed by the exchange.
     
    Last edited: Dec 31, 2017
  4. GumbyNoTalent

    GumbyNoTalent Member

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    My 100BTC is still worth zero dollars until I convert to dollars.
    If I brought my BTC for $19K and did not sell them, then they are still worth 19K what I value brought them for, if/when I sell them for 10K only then have I lost value.
    You do not lose on an investment until you convert it in some form of an exchange, only then have you lost or gained.

    Market value is what the current market is willing to pay, is what offers an exchange has for the purchase of the BTC, you are not forced to sell at that offer.
     
    Last edited: Dec 31, 2017
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  5. OP
    OP
    ipv6ready

    ipv6ready Member

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    That’s a funny way of looking at it, as most people who bought 1 btc for $19k would be pissed that their lost $6k. Of course it unrealised loses but people still look at value of what they hold in dollar terms.

    But my OP was about people with disaster stories.

    BTW, how did you get the 100btc did you mine it? I got most of mine years ago for peanuts and was kicking myself when I sold out for $13 to $15k each, when it went to $20k.
     
    Last edited: Dec 31, 2017
  6. GumbyNoTalent

    GumbyNoTalent Member

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    I don't have a 100BTC was just an example. I have about 60ish BTC IRL.
     
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  7. OP
    OP
    ipv6ready

    ipv6ready Member

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    60 is bloody good, and you have more nerve than me.
    I started switching out when I started basing my wealth on btc. To my amazement this occurred over a so short a period it is ridiculous. Now I have three btc basically similar amounts to what I hold in individual shares.

    So it’s been great for me, but conversely someone somewhere is losing as much money as I am gaining.
    Simply put everyone can’t be wining in dollar terms?
     
  8. Strik3r

    Strik3r Member

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    I mined 30 BTC. I sold them in 3 waves of 10 @ $8, $14 and $36. Watchagonnado =\ Hindsight is a beautiful thing. That 600k would actually be somewhat life changing -_-
     
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  9. Optimus.

    Optimus. Member

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    Wasn't there a member here whose missus got him to sell 300k coins or something to pay for his wedding?
    Hope she was worth it. :lol:
     
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  10. OP
    OP
    ipv6ready

    ipv6ready Member

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    Yikes, if that is 300,000 coins that is like billions isn’t, mind boggles.
     
  11. zed_kid

    zed_kid Member

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    Surely that’s a furphy, not even the winkles have that many BTCs?
     
  12. Optimus.

    Optimus. Member

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    Maybe it was $300k worth at the time (2014, pre-peak).
     
  13. Myne_h

    Myne_h Member

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    That might work in your head, but in publicly traded businesses, you're supposed to use mark-to-market accounting.
    When you prepare your balance sheet at the end of the financial year, you're supposed to mark the current value of your assets to the market price.
    So, a publicly traded business would, perhaps not report a loss, but a reduction in their assets.
     
  14. GumbyNoTalent

    GumbyNoTalent Member

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    If the ATO treating crypto like share trade not an asset.
    https://www.ato.gov.au/General/Gen/...rrencies-in-Australia---specifically-bitcoin/
     
    Last edited: Jan 8, 2018
  15. Myne_h

    Myne_h Member

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    Sure.

    But my example was of a publicly traded company.
    Which have to prepare annual balance sheets and cashflow statements.
    In which, they would report to their shareholders the mark-to-market value of their assets.
    If they held BTC, they would have to find the current market price and report that under one of their "Asset" columns.
     
  16. GumbyNoTalent

    GumbyNoTalent Member

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    Which current market price? It's different on every exchange. And fluctuates widely on a daily basis.
     
  17. Myne_h

    Myne_h Member

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    So do currencies. Yet since the beginning of public reporting, "Foreign currencies" have, always been able to be given a notional value in "Cash and Cash Equivalents" section.
     
  18. slavewone

    slavewone Member

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    I had 4 digits of btc on MTGOX (mined pre 2011)
    I lost 100 btc to pirateat40 (faucets)
    Biggest regret: not rebuying when I sold 110 btc @ $550 to buy a house, but didn't. (Bought 64 for $25, invested in the 100TH project (500TH mine) which gave me dividends of 110)
     
  19. Hive

    Hive Member

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    Why would you not cash out now?
     
  20. GumbyNoTalent

    GumbyNoTalent Member

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    Same question was being asked when BTC was $1000 in 2014, same answer is why cash out?
     
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